Vietnam's Robusta Coffee Processing Accelerates

Key pointsVietnam's coffee exports are increasing as deep processing of Robusta coffee advances. Notably, Intimex's factory operates 24/7, expanding its annual production capacity from 4,000 tons to 10,000 tons. Officials from the Ministry of Agriculture state that improving quality and adopting technology are essential for strengthening Vietnam's position as a coffee-producing country. This transformation is shifting Vietnam from a mere raw material supplier to a hub for high-value products.
Business impactFor Japanese companies, the changes in Vietnam's coffee market present new business opportunities in raw material procurement and product development. As demand for deep-processed products rises, quality control and technological partnerships will become critical factors.

Key pointsThe Mayor of Ho Chi Minh City, Nguyen Van Duc, highlighted an increase in companies exiting the market during the economic and social conference in August, urging a review of administrative procedures. While the city's budget revenue has reached approximately 78% and public investment execution is at 57.7%, private investment execution is lagging, potentially impacting growth. The mayor instructed for expedited procedures based on urban development laws, particularly emphasizing the need for land tax exemptions and incentives.
Business impactJapanese companies should pay attention to the review of administrative procedures in Ho Chi Minh City and seek opportunities to utilize new incentives in their investment plans and project progress. It is important to deepen understanding of policies aimed at future growth objectives.

Key pointsHo Chi Minh City announced a growth target of 11.07% for the third quarter of 2026. To achieve this, there is a need to promote investment and revitalize economic activities. The city's budget reached 624.76 trillion VND in eight months, a 19.2% increase year-on-year. The city also aims for 1,200 trillion VND in investments and plans to raise foreign direct investment (FDI) to over 11 billion USD, emphasizing the importance of infrastructure development and regulatory easing to support economic growth.
Business impactJapanese companies need to reassess their investment strategies and market entry plans in line with Ho Chi Minh City's growth targets. It is particularly important to consider participation in infrastructure-related projects and public works.

Key pointsCompanies from the US, South Korea, and the UK are seeking suppliers in Vietnam, with a particular focus on promoting exports from small and medium-sized enterprises. The International Procurement Exhibition (VIS 2026), scheduled for September 3-5, 2026, will see participation from many international companies, presenting new business opportunities for Vietnamese firms. There is a growing demand for Vietnamese agricultural and aquatic products in the South Korean market, although the current market share is only 3%. In contrast, the UK market is looking for products that emphasize sustainability.
Business impactJapanese companies need to focus on developing agricultural and sustainable products to capitalize on these market opportunities. Additionally, there is a need to strengthen export procedures and quality management.

Key pointsVietnamese companies are actively expanding their own brands in response to international demand, achieving success particularly through platforms like Amazon and Alibaba. For instance, the international trading company Minh An has exported 400,000 neck fans to the United States, achieving strong sales performance. Additionally, VinaBedding is introducing natural rubber mattresses to the international market, with increasing demand in the U.S. market. This enhances the international competitiveness of Vietnamese products.
Business impactJapanese companies need to reassess local partnerships and co-branding strategies in light of Vietnamese companies' success in building brands in the international market. In particular, sales strategies utilizing e-commerce platforms will be a crucial element for enhancing competitiveness.

Key pointsCentral Power Company (EVNCPC) is implementing technologies such as unmanned substations, remote control, and robotic monitoring to enhance the reliability and efficiency of power supply. This initiative is based on a national policy aimed at promoting the advancement of science and technology.
Business impactThis technological innovation is likely to directly impact energy cost management for Japanese companies by improving the stability of power supply and increasing investment efficiency.

Key pointsC.P. Vietnam has announced its first export of processed chicken from Vietnam to South Korea. This market opening is considered a significant milestone in agricultural cooperation between the two countries. C.P. Vietnam has met stringent export standards and successfully entered the South Korean market. Other companies are expected to follow suit in entering this market.
Business impactJapanese companies should closely monitor this development and assess its impact on related transactions, contracts, and local operations.

Key pointsHo Chi Minh City is implementing new construction technologies for key projects such as ring roads, highways, and metro systems. The aim is to optimize social costs and minimize impacts on residents' lives. Notably, TBM technology is being used for the construction of the underground station of Metro Line 2, which is expected to alleviate traffic congestion.
Business impactThe introduction of new technologies may enhance the efficiency of construction projects for Japanese companies and lead to cost reductions. Particularly in the construction industry, adopting the latest technologies could be a factor in increasing competitiveness.

Key pointsHo Chi Minh City is advancing new initiatives to promote the recycling of plastic waste. Vu Dinh Nam, Deputy Director of the Ministry of Environment, has called for enhanced waste separation and innovation in recycling technologies. He emphasized the need for policies to achieve a circular economy for plastic waste by 2026, highlighting the importance of collaboration with businesses and research institutions.
Business impactJapanese companies need to prepare for strengthened environmental regulations by considering waste management and the adoption of recycling technologies. In particular, companies involved in plastic-related businesses should expedite their transition to sustainable business models.

Key pointsAs Vietnam continues to attract international tourists ahead of the National Day on September 2, 2026, there has been a significant influx of visitors, particularly from South Korea. Da Nang has emerged as the most popular destination for international tourists. According to Trip.com data, international flight bookings have increased by 44% year-on-year, and accommodation bookings have surged by 123%.
Business impactJapanese companies should keep an eye on this trend and evaluate its implications for related transactions, contracts, and local operations.

Key pointsDa Nang City will establish a new platform to enhance collaboration among the government, schools, and businesses to address the labor shortage faced by companies. Many businesses have pointed out a significant gap between actual capabilities and qualifications, particularly in the shortage of workers with foreign language skills and specialized expertise. The city aims to develop an information system for the labor market and create educational programs tailored to the needs of companies.
Business impactThis initiative provides new opportunities for Japanese companies to secure talent. As workforce development progresses, especially in IT, AI, and logistics, companies will find it easier to acquire workers with the necessary skills. It is a time to reassess talent strategies.

Key pointsAstraZeneca Vietnam has initiated the process to revoke the business license of its former facility as of August 24, 2026. This move aims to expand and upgrade its warehouse system based on a long-term growth strategy. The new warehouse will feature greater capacity and a refrigerated supply chain with strict temperature control, preparing for the introduction of advanced therapies. AstraZeneca has confirmed its commitment to continue medical supply in Vietnam.
Business impactThis action may impact AstraZeneca's supply chain and logistics operations, with expectations that the new warehouse will enhance the efficiency of pharmaceutical supply. Japanese companies should pay attention to changes in the healthcare sector and consider reviewing supply contracts.